Loma Generators, Inc. makes a variety of generators as a backup due to their problems with the regular service. One of these products is a Generator model: Super OMEGA. This model includes the ultimate in technology and is in strong demand. Expected demand for this year is $45,000$ units. Full production capacity for Super OMEGA is $49,000$ units, but $45,000$ units are considered normal capacity. The following unit price and breakdown applicable in $2023$:

Per Unit

Cost Item: Actual

Quantity of Production Level $45,000$

Sales Price $$600\mathrm{.}00$

Less manufacturing costs:

Materials $$110\mathrm{.}00$

Direct Labor $$28\mathrm{.}00$

Overhead: Variable $$15\mathrm{.}00$

Fixed $$26\mathrm{.}00$

Total manufacturing costs $$179\mathrm{.}00$

Gross Margin $$421\mathrm{.}00$

Less selling and administrative expenses

Selling: Variable $$5\mathrm{.}00$

Fixed $$27\mathrm{.}00$

Administrative, Fixed $$17\mathrm{.}00$

Gas Option, variable$*$ $$55\mathrm{.}00$

Total selling and administrative expenses $$104\mathrm{.}00$

Net Profit before taxes $$317\mathrm{.}00$

Total Net Profit before taxes per order $$14,265,000$

$*$as required per customer

During December, the company received $2$ special orders request from: Cestco and Sims. These orders are not part of the budgeted $45,000$ units sales of Super OMEGA for $2023,$ but there is sufficient capacity for possibly one order to be accepted. Orders received and their terms are:

A$.$ Order from Cestco: $2,300$ units at $$545$ per unit with spare Gasoline tank but without Gas option $$11*$ per unit.

B$.$ Order from Sims: $2,600$ units at $$530$ per unit with spare Gasoline tank & with Gas option $$55*$ per unit.

$1.$ Analyze the profitability of each of these two special orders.

$2.$ Which special order should be accepted?

$3.$ What other aspects need to be considered in addition to profitability?